Chinese EV major, Li Auto (NASDAQ: LI) gained in pre-market trading after the company reported its third quarter earnings. The company’s earnings per share came in at $0.45 (RMB3.29) as compared to RMB1.27, which beat analysts’ consensus estimate of $0.37 per share.
Don't Miss our Black Friday Offers:
- Unlock your investing potential with TipRanks Premium - Now At 40% OFF!
- Make smarter investments with weekly expert stock picks from the Smart Investor Newsletter
The company generated revenues of $4.75 billion (RMB34.68 billion) in the third quarter, a jump of 271.2% year-over-year, and were above analysts’ expectations of $4.60 billion. Li Auto’s vehicle sales were $4.61 billion or RMB33.62 billion in the third quarter, representing an increase of 271.6% year-over-year.
In Q3, Li’s total vehicle deliveries were 105,108 units, representing a rise of 296.3% year-over-year.
Looking forward, in the fourth quarter, management now expects its vehicle deliveries to be between 125,000 and 128,000 vehicles while revenues are likely to be in the range of RMB38.46 billion ($5.27 billion) to RMB39.38 billion ($5.40 billion).
What is the Target Price for LI Stock?
Analysts are cautiously optimistic about LI stock with a Moderate Buy consensus rating based on two Buys. The average LI price target of $56.50 implies an upside potential of 43.5% at current levels.
